COMMISSION LOOSES TWO KEY ALLIES IN ITS LEGAL BATTLE WITH MICROSOFT.

• Position: Microsoft Corp. - Computer and Communications Industry Association

Microsoft is pursuing its charm offensive and has even buried the hatchet with several of its erstwhile enemies, notably a publisher of Linux free software and above all a professional association that attacked it on both sides of the Atlantic for unfair competition. More so than the agreement with the American publisher Novell, which has cost Microsoft US$ 536 million, attention is focusing on the peace struck on November 8 with the CCIA, since this global federation of the software giant's rivals has been a persistent and virulent opponent. "This is an astonishing development", said Joe Wilcox of analysts Jupiter Research. Microsoft will become a member of the Computer and Communications Industry Association, "which is quite comical when one considers the force with which Ed Black, chairman of the non-profit organisation has attacked Bill Gates and his group over the past five years" Mr Wilcox added. Founded in 1972, the CCIA campaigns for "open markets, systems and networks". Established in Washington and including Oracle, AOL and Yahoo among its members, it is known to have been closely involved in anti-trust proceedings against Microsoft in both the United States and before the European Commission. At issue is Microsoft's all powerful Windows operating system, fitted to nine out of ten PCs worldwide, and which Microsoft is accused of using to impose associated software on manufacturers, sidelining competing publishers.

The CCIA...